Stock Price Trends

Ameren Corp (AEE)

Ameren Corporation is an American power company created December 31, 1997, by the merger of St. Louis, Missouri's Union Electric Company (formerly NYSE: UEP) and the neighboring Central Illinois Public Service Company (CIPSCO Inc. holding, formerly NYSE: CIP) of Springfield, Illinois. It is now a holding company for several power companies and energy companies.

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 9.30% per annum.
  • AEE price at the close of July 26, 2024 was $78.04 and was higher than the top border of the primary price channel by $1.27 (1.66%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 14.32% per annum.
  • AEE price at the close of July 26, 2024 was higher than the top border of the secondary price channel by $0.39 (0.50%).
  • The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.

Linear Regression Model

Model equation:
Yi = α + β × Xi + εi

Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)

Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)

where:

i - observation number
Yi - natural logarithm of AEE price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e


Primary Trend

Start date: March 21, 2022
End date: July 16, 2024

a = 4.7374

b = -0.0003

s = 0.0457

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0003) – 1
= -9.30%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0457) – 1
= 20.05%

March 21, 2022 calculations

Top border of price channel:

Exp(Y667)
= Exp(a + b × X667 + 2 × s)
= Exp(a + b × 966 + 2 × s)
= Exp(4.7374 + -0.0003 × 966 + 2 × 0.0457)
= Exp(4.5703)
= $96.58

Bottom border of price channel:

Exp(Y667)
= Exp(a + b × X667 – 2 × s)
= Exp(a + b × 966 – 2 × s)
= Exp(4.7374 + -0.0003 × 966 – 2 × 0.0457)
= Exp(4.3876)
= $80.44

July 16, 2024 calculations

Top border of price channel:

Exp(Y1,249)
= Exp(a + b × X1,249 + 2 × s)
= Exp(a + b × 1,814 + 2 × s)
= Exp(4.7374 + -0.0003 × 1,814 + 2 × 0.0457)
= Exp(4.3435)
= $76.97

Bottom border of price channel:

Exp(Y1,249)
= Exp(a + b × X1,249 – 2 × s)
= Exp(a + b × 1,814 – 2 × s)
= Exp(4.7374 + -0.0003 × 1,814 – 2 × 0.0457)
= Exp(4.1607)
= $64.12

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 9.30% per annum.
  • AEE price at the close of July 26, 2024 was $78.04 and was higher than the top border of the primary price channel by $1.27 (1.66%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: January 12, 2024
End date: July 26, 2024

a = 3.6339

b = 0.0004

s = 0.0247

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0004) – 1
= 14.32%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0247) – 1
= 10.40%

January 12, 2024 calculations

Top border of price channel:

Exp(Y1,123)
= Exp(a + b × X1,123 + 2 × s)
= Exp(a + b × 1,628 + 2 × s)
= Exp(3.6339 + 0.0004 × 1,628 + 2 × 0.0247)
= Exp(4.2804)
= $72.27

Bottom border of price channel:

Exp(Y1,123)
= Exp(a + b × X1,123 – 2 × s)
= Exp(a + b × 1,628 – 2 × s)
= Exp(3.6339 + 0.0004 × 1,628 – 2 × 0.0247)
= Exp(4.1815)
= $65.46

July 26, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(3.6339 + 0.0004 × 1,824 + 2 × 0.0247)
= Exp(4.3523)
= $77.65

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(3.6339 + 0.0004 × 1,824 – 2 × 0.0247)
= Exp(4.2533)
= $70.34

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 14.32% per annum.
  • AEE price at the close of July 26, 2024 was higher than the top border of the secondary price channel by $0.39 (0.50%).